The document discusses some of the key challenges and opportunities for Acceptiv Inc. in developing their online business. Some challenges mentioned include managing channel conflicts between direct-to-consumer and agent sales channels, navigating different regulatory considerations across provinces, and overcoming challenges with cross-selling different products that have separate underwriting. Opportunities include leveraging lessons learned from other successful online retailers, using customer data to provide more personalized value-added services, and standing out from competitors by optimizing the customer experience to make the online purchasing process quick and easy.

1. Challenges and Opportunities
Steve Fretwell
Advisory Board Chair
Acceptiv Inc.
Acceptiv Confidential

2. Yin-Yang
Two forces in the universe, according to a Chinese theory: yin is the
passive, negative force, and yang the active, positive force. According
to this theory, wise people will detect these forces in the seasons, in
their food, and so on, and will regulate their lives accordingly.
2Acceptiv confidential

3. Tables choose one from the following subjects
• Channel conflict; direct to consumer, agents, omni-channel
• Developing the business plan for leadership; making the case
• Regulatory considerations; external data, signatures, replacement
• Building the team; players and structure
• How much extra will people pay for online convenience?
• Product and pricing considerations; same products, same prices
• Value added services
• Cross selling; yes, no, what, when, how, cost impact
• Lessons learned from other online retailers
• How to stand out versus other offerings, and progress a prospect
from acquisition to transaction
• Other ideas?
3

4. Value Added Services
• Provide advice e.g. “people like you buy…”
• Will writing for example, also show cost of the service
• Develop 360o view of the customer – purchase behavior
• Provide post-sell information
• Opportunity for continued client engagement
• Provide for customer education/awareness
• Provide online services (client service)
4

5. Lessons Learned from Other Online Retailers
Good Bad
• Opp/Growth
• Customer Service/ Experience
• Simplicity
• Channel Shift Savings
(ongoing vs. initial cost)
• Self-sufficiency
• Expand target market
• Leakage/Cost
• Not solving for the real
problem
• Not evolving with the
competition
• Complex products
• Poor intelligence
• Uneven product margins
• Channel conflicts
• Talent management
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Opportunity Cost

6. Cross Selling
Challenges Opportunities
• Different groups sell different
products
• Different underwriters for each
product
• How to market / how to drive
traffic
• Overwhelmed / too much info
• Existing client base to go after
• Increased sales / revenue
• Increased retention
• Better data / analytics
• More touch points – more
sales opportunities
• Wider net / 24-7
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7. Product and pricing considerations
Challenges Opportunities
Upset distribution force
Product design
Pricing
Underwriting
Education
Challenging mentally
Brand spillover
§ Advisor
§ Brand (omni-channel)
More refined products
§ Simple / process
Partnerships
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8. Regulatory considerations
Challenges Opportunity
Legal / Compliance
No one regulator
§ provinces
Current regulation not digital
friendly
Startup vs Traditional
§ more risk adverse
Privacy – consumer expectations
vs. Organizations
Strong compliance leadership
§ have to want to change
Strong intent to change
§ incentive e.g. digital
Startup vs Traditional
§ more risk adverse
External data speeds up
processes
§ Risk
§ Pain points
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9. How much extra will people pay for online convenience?
• What is baseline?
• Most consumers do not know typical costs
• Driven by levels of “need” and how they value their time saved
• Challenge of trying to sell traditional products in a convenience
world
• Why should they have to in an online world (consumers may ask?)
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10. How to stand out
1. <10 minutes
• Easy to find
• Easy to buy
2. Make price relevant and real ( $25/month) value
3. What is the sweet spot on pricing that will feel right
4. Price today address future discounting behaviour
§ Peace of mind
5. Translate into real value
6. Be there and ready when someone is wanting to buy
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11. How to stand out (continued)
7. Smarter use of data can help you with who you want
8. Key words that align with people’s search
9. Clear path along the journey (to get out of the spaghetti)
10. What define trust, who helps get your story told?
• Social community
11. Redefine the purchase to be a bigger idea
12. Balance between choice vs. overload
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12. Challenges and Opportunities
Steve Fretwell
Advisory Board Chair
Acceptiv Inc.
Acceptiv Confidential